The term "blockchain" represents a decentralized digital ledger technology that securely records transactions across multiple computers. Each transaction is bundled into a block and linked to previous blocks, creating an unalterable chain. This structure enhances transparency and security, making blockchain suitable for various applications beyond cryptocurrencies, such as smart contracts and supply chain management. The distributed nature of blockchain reduces the risk of fraud and increases trust among participants due to its inherent consensus mechanisms and cryptographic protections.